Ambrose Bierce is credited with once saying, “Death is not the end. There remains the litigation over the estate.” Well, unfortunately Ambrose was right, especially in Palm Beach where probate litigation can get very heated over Grandma’s inheritance or Uncle Bob’s Jaguar. Estate planning though can prevent World War 3 and you owe it to your family to keep them intact after you are gone right? Here are my ten tips to prove Ambrose wrong!
- Is your will executed? Before you say yes, do you know what an”executed will” looks like in Florida? Do you have two witnesses, and a notary? Did an attorney help you put this all together (still make sure all the signatures are they, attorneys make mistakes too).
- Have you considered using trusts? A trust can keep certain property out of probatewhich means its out of court and hopefully family members will respect that and keep it out of court. There is no guarentee but hey atleast by keeping it out of court your not making it so easy for them!
- Have you discussed your plan with your relatives? I can not tell you how many clients feel this is personal information, and I get it, it is but your family needs to know. Do not let them find out on your death bed that theyre all getting disinehrited, because I assure you they will challenge that will.
- Have you considered what you want your legacy to be? I have blogged before about how Warren Buffett and Bill Gates are not leaving their fortunes to their kids, rather they chose to leave a legacy of giving and charity. Maybe you want to as well! You do not have to be Warren Buffett to make a difference or be charitable and its not an all or nothing thing, you can give a portion of your estate to charity!
- Do you have a residual clause? Residue is whats left and if your estate has a residue it will be disposed of according to intestancy if you do not have a clause saying where all the extras are going.
- Have you chosen your personal representative? These are the guys who will administer your will and ensure that your last will and testament is respected, if I were you Id pick the child of mine who listened the best,not that one whose always on their iPhone not paying attention!
- Do you have any special circumstances? Are you leaving behind disabled beneficiaries who need state assistance? Your inheritance may put them above the threshold for those services soyou may have to put them in trust.
- What about taxes? Taxes can get expensive especially estate tax if you have estate worth over 5 million dollars.
- Are there older wills and codicils that you invalidated still sitting around? These are quite literally will contest kindling, they will start fires, destroy them all. If you invalidated it, get rid of it!
- Talk to an estate planning attorney. You didnt think that this list was going to be all exhaustive did you? Look there is no true “Estate Planning 101” or “Estate Planning for Dummies” because Estate planning is hard, and you only have one estate! How can you get good at something youve never done? You cant, so trust the experts and go see an estate planner today.
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